Created byFuzzy Cloud

High Court of Gujarat

NANALAL KARSHAN LIMBANIversusSTATE OF GUJARAT

Disposal
47-DISPOSAL IN ANY OTHER MODE FH

Holding

The court upheld the conviction but granted probation under the Probation of Offenders Act and cancelled the non‑bailable warrant, ordering release on bail.

Summary

The applicant was convicted under Section 138 of the Negotiable Instruments Act and sentenced to one year imprisonment and a fine. After the conviction was upheld by the Sessions Court, the applicant filed a revision under Sections 397 and 401 of the CrPC, seeking to quash the judgment and obtain bail. The court noted that the offence is quasi‑criminal, compoundable, and that the conviction should not be disturbed, but it considered the object of the Act and the applicant’s payment of the cheque amount. Relying on Supreme Court precedent (Sanjabij Tari v. Kishore S. Borcar), the court extended the benefit of the Probation of Offenders Act, releasing the applicant on probation with a bond and cancelling the non‑bailable warrant. The applicant was also directed to deposit Rs 70,000 as bail, and the revision and related bail application were disposed of.

Issues considered

  • Whether the revision court can set aside the conviction and sentence under Section 138 of the Negotiable Instruments Act.
  • Whether the benefit of the Probation of Offenders Act, 1958 can be granted to a person convicted under the NI Act.
  • Whether the non‑bailable warrant can be cancelled and bail granted upon deposit of the cheque amount.

Legislation cited

Subjects

Section 138 NI Actconvictionrevisionprobationbailnon‑bailable warrantcompoundable offenceCriminal Procedure Code

Judgment

     R/CR.RA/63/2012                             JUDGMENT DATED: 27/04/2026




          IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

R/CRIMINAL REVISION APPLICATION (AGAINST CONVICTION -
      NEGOTIABLE INSTRUMENT ACT) NO. 63 of 2012

                         With
CRIMINAL MISC.APPLICATION (REGULAR BAIL) NO. 1 of 2026
   In R/CRIMINAL REVISION APPLICATION NO. 63 of 2012

FOR APPROVAL AND SIGNATURE:


HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

============================================

             Approved for Reporting             Yes          No

============================================
                  NANALAL KARSHAN LIMBANI
                              Versus
                   STATE OF GUJARAT & ANR.
============================================
Appearance:
HCLS COMMITTEE(4998) for the Applicant(s) No. 1
MS. ALKA B VANIYA(6945) for the Applicant(s) No. 1
NON BAILABLE WARRANT SERVED for the Applicant(s) No. 1
MR BY MANKAD(440) for the Respondent(s) No. 2
MS MONALI H BHATT, APP for the Respondent(s) No. 1
============================================

 CORAM:HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

                           Date : 27/04/2026

                               JUDGMENT


1)      By way of present revision application under Sections 397 read

        with 401 of the Code of Criminal Procedure, 1973, the applicant

        has prayed for quashing and setting aside the judgment and

        order of conviction and sentence dated 26.02.2010 passed by

        the learned 2nd Additional Judicial Magistrate First Class, Bhuj –



                                  Page 1 of 4
     R/CR.RA/63/2012                                       JUDGMENT DATED: 27/04/2026




        Kutch in Private Criminal Case No.1000 of 2007, whereby, the

        trial Court has been pleased to hold the applicant guilty for the

        offence        punishable   under    Section      138   of   the    Negotiable

        Instruments Act (which shall hereinafter be referred to as “NI

        Act” for short) and sentenced to undergo simple imprisonment

        for one year and also directed to pay fine of Rs.5,000/- and in

        default        of   payment   of    fine     to   undergo    further     simple

        imprisonment for one month. The said order was assailed by

        way of filing Criminal Appeal No.7 of 2010, wherein, vide order

        dated 25.01.2012 passed by the learned Sessions Judge, Kutch

        – Bhuj, the appeal came to be dismissed. Hence, the present

        Revision Application is filed by the applicant-accused.


2)      Learned Advocate for the applicant has submitted that pursuant

        to the order dated 24.03.2026, non bailable warrant came to be

        issued against the accused and at present he is in custody. He

        has further submitted that the applicant is ready and willing to

        deposit Rs.70,000/- i.e. cheque amount before the Registry of

        this Court. In view of above, the applicant is permitted to

        deposit the cheque amount before the Registry of this Court.

        Therefore, once the amount being deposited and the offence

        under Section 138 of the NI Act is quasi-criminal in character

        and is compoundable and punishment under the NI Act is not a

        means of seeking retribution but is more a means to ensure



                                       Page 2 of 4
     R/CR.RA/63/2012                              JUDGMENT DATED: 27/04/2026




        payment of money and to promote credibility of cheques as a

        trustworthy substitute for cash payment, in absence of any

        perversity no ground is found to upset the concurrent findings of

        the learned trial Court and Appellate Court and it is not open for

        Revisional Court to re-analyse and re-interpret the evidence in

        revisional jurisdiction. No case is made out to interfere with the

        reasons assigned by both the Courts.


3)      At the same time this Court has taken into consideration the

        object of the Act and as the accused has made the payment,

        hence, in view of judgment of the Hon’ble Supreme Court

        Sanjabij Tari Vs Kishore S. Borcar, Neutral Citation 2025

        INSC 1158, maintaining the conviction this Court is inclined to

        extend the benefit under the Probation of Offenders Act, 1958,

        to the applicant-accused.


4)      Accordingly, the applicant – accused is directed to be released

        on probation of good conduct under Section 4 of the Probation of

        Offenders Act, upon execution of probation bond in sum of

        Rs.20,000/-, with one surety of like amount for a period of one

        (1) year.


5)      It is hereby further directed that the applicant - accused shall

        receive the sentence as and when called upon till the said period

        and the applicant shall maintain peace during above mentioned

        period of one (1) year.


                                    Page 3 of 4
      R/CR.RA/63/2012                                                              JUDGMENT DATED: 27/04/2026




6)         The above mentioned bond under Section 4 of the Probation of

           Offenders Act, be submitted before the learned trial Court within

           15 days of passing of this judgment.

7)         Accordingly, present revision application is disposed of. Record

           and proceedings, if any, be sent back to the concerned Court

           forthwith.

8)         It is kept open for the respondent no.2 to release the amount in

           his favour.

9)         In view of the above, the non bailable warrant issued against the

           applicant is hereby cancelled and the applicant is released on

           bail subject to the condition that he shall deposit Rs.70,000/-

           i.e. cheque amount before the Registry of this Court.

10)        The Jail Authority is directed to release the applicant forthwith, if

           not required in any other offence.

11)        Accordingly, the Criminal Misc. Application No.1 of 2026 also

           stands disposed of.

12)        The Registry is directed to communicate this order to the Jail

           Authority via FAX. Direct service is permitted.




                                                                            (HASMUKH D. SUTHAR,J)
ANKIT JANSARI
Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: ANKIT YOGESHBHAI JANSARI(HCW0109), ENGLISH STENOGRAPHER GRADE I, at High Court of Gujarat on 27/04/2026 15:26:22




                                                        Page 4 of 4


Search Indian case law

Ask in plain English, not just keywords. 25,000 AI words free, no card.

Try "Section 138 NI Act"Sign in to search

For a digitally signed copy suitable for filing, refer to the court's own website. Only the court can issue one.